SushiSwap (SUSHI) has recently surged by an impressive 53%, making it a notable performer in the cryptocurrency market. Recently, market intelligence platform Santiment suggested that alternative cryptocurrencies like SushiSwap are gaining momentum, overshadowing the traditionally dominant Bitcoin. This shift in market dynamics indicates the potential commencement of an “altcoin season.” What’s happening?
A few days ago, @lookonchain suggested SUSHI price manipulation. They discovered a new DEX entrant who bought loads of SUSHI. Later, other wallets sent USDC to dYdX, a decentralized derivatives exchange. What do you think is the reason behind this big green candle?
SushiSwap on the Verge of a Breakout? Here’s Why!
Market tracker says SushiSwap (SUSHI) has increased 82% in the same period. SushiSwap (SUSHI) has quietly surged by up to 3.44% in the last 24 hours, reaching $0.9875. Over the past seven days, the decentralized exchange token has witnessed an impressive 53% increase in value, yet it has largely flown under the radar.
Amid this understated parabolic rise, SushiSwap is amid an ambitious overhaul of its tokenomics. SUSHI has established a strong support zone around $1, the price range for a potential upward move towards $1.25. The next halt will be $2. The MACD and RSI indicators are showing signs of an uptick, indicating an increased likelihood of price appreciation for SUSHI.
This surge, coupled with the performance of various alternative coins in recent weeks, suggests to some, like Santiment, that the altcoin season might be underway. Well-known trader and crypto expert Michaël van de Poppe has also predicted a bullish breakout for altcoins, advising market participants to consider purchasing during dips.
Tokenomics: A Multifaceted Approach for SushiSwap
Behind SushiSwap’s recent surge lies an ambitious overhaul in its tokenomics, driven by the protocol’s new CEO, Jared Gray. Seeking community input, Gray aims to revamp the tokenomics model with a strong focus on ensuring long-term sustainability. The proposal addresses systemic challenges, such as Liquidity Subsidization and Balancing Value, to create a more robust economic framework.
The revamped tokenomics model also plans to generate fees from trading, routing, and staking offerings alongside strategic partnerships to bolster revenue streams. These strategic changes are geared towards fostering decentralization, amplifying liquidity, and enhancing the utility of SushiSwap’s native token, SUSHI.
But there are Roadblocks…
While SushiSwap has encountered challenges, including regulatory scrutiny from the SEC, signs of growth have resurfaced. This recent surge, coupled with the proposed tokenomics changes, signifies a potential turning point for the DeFi protocol. If approved, these alterations could serve as a springboard for SushiSwap’s continued growth and development within the cryptocurrency ecosystem.